Stride, Inc. $LRN Position Raised by Cat Rock Capital Management LP

Key Points

• Cat Rock Capital Management LP increased its stake in Stride by 22.8% in Q3 to 203,614 shares (about $30.3M), making LRN its 10th-largest holding and ~3.7% of the fund.
• Analyst sentiment is mixed with a consensus rating of Hold and a $109.75 average target; Morgan Stanley cut its target to $95 while some firms still carry Buy/outperform ratings with $125 targets.
• Stride (LRN) trades near $84.25 with a $3.59B market cap, a P/E of 12.82, strong liquidity metrics and very high institutional ownership (98.24%); its 12‑month range is $60.61–$171.17.

Cat Rock Capital Management LP raised its holdings in shares of Stride, Inc. (NYSE:LRN - Free Report) by 22.8% in the 3rd quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The institutional investor owned 203,614 shares of the company's stock after buying an additional 37,761 shares during the quarter. Stride comprises about 3.7% of Cat Rock Capital Management LP's holdings, making the stock its 10th largest position. Cat Rock Capital Management LP owned 0.46% of Stride worth $30,326,000 at the end of the most recent quarter.

A number of other institutional investors have also added to or reduced their stakes in the business. Newbridge Financial Services Group Inc. purchased a new position in shares of Stride during the second quarter worth about $25,000. Financial Management Professionals Inc. purchased a new stake in Stride in the third quarter valued at approximately $26,000. Twin Peaks Wealth Advisors LLC purchased a new stake in Stride in the second quarter valued at approximately $30,000. Penserra Capital Management LLC bought a new stake in Stride during the second quarter valued at approximately $27,000. Finally, Northwestern Mutual Wealth Management Co. grew its stake in Stride by 78.7% in the 2nd quarter. Northwestern Mutual Wealth Management Co. now owns 193 shares of the company's stock worth $28,000 after buying an additional 85 shares in the last quarter. 98.24% of the stock is currently owned by institutional investors.

Wall Street Analysts Forecast Growth

Several analysts have recently weighed in on LRN shares. Wall Street Zen cut shares of Stride from a "buy" rating to a "hold" rating in a research report on Saturday, January 31st. Morgan Stanley reduced their target price on Stride from $130.00 to $95.00 and set an "equal weight" rating on the stock in a research note on Wednesday, December 17th. Weiss Ratings reaffirmed a "hold (c+)" rating on shares of Stride in a research note on Monday, December 29th. Barrington Research reiterated an "outperform" rating and issued a $125.00 price objective on shares of Stride in a report on Wednesday, January 28th. Finally, Canaccord Genuity Group reiterated a "buy" rating and set a $125.00 price objective on shares of Stride in a research report on Wednesday, January 28th. Three investment analysts have rated the stock with a Buy rating and four have assigned a Hold rating to the stock. According to MarketBeat.com, the company has an average rating of "Hold" and a consensus price target of $109.75.

Stride Stock Performance

NYSE LRN opened at $84.25 on Friday. The firm has a market cap of $3.59 billion, a price-to-earnings ratio of 12.82, a PEG ratio of 0.50 and a beta of 0.12. The company has a 50-day simple moving average of $80.00 and a two-hundred day simple moving average of $97.29. The company has a quick ratio of 7.19, a current ratio of 7.27 and a debt-to-equity ratio of 0.31. Stride, Inc. has a 12-month low of $60.61 and a 12-month high of $171.17.

About Stride

Stride, Inc NYSE: LRN is a technology-driven education company that designs and delivers online learning solutions for students and adult learners. Through long-term partnerships with state-authorized public school districts, Stride operates virtual academies that serve K-12 students across the United States. The company's blended-learning model combines digital curriculum, live teaching support and data analytics to personalize instruction and monitor student progress.

In addition to its K-12 offerings, Stride provides a portfolio of career and workforce readiness programs under its Stride Career Prep division.

Want to see what other hedge funds are holding LRN? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Stride, Inc. (NYSE:LRN - Free Report).

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.